Los Angeles – May 9, 2016 – CBRE Capital Markets announced that it represented Camden Property Trust in the $630 million sale of a 15-property multifamily portfolio in Las Vegas to funds managed by Oaktree Capital Management, L.P. (“Oaktree”) and their advisor, The Bascom Group, LLC. (“Bascom”). CBRE Capital Markets’ Debt & Structured Finance team also secured a $470.7 million loan for the acquisition of the portfolio.
The portfolio consists of 4,918 apartment units, a small neighborhood retail center and 19.6 acres of undeveloped land, all located throughout Las Vegas.
Oaktree, along with other partners such as Bascom, currently owns a portfolio of commercial assets in the Las Vegas area and the acquisition of this portfolio will complement their strategy in the market. These high-quality assets are located in strong submarkets and contain clubhouses, resort-style pools, fitness centers, and other high-end amenities. Oaktree will continue to focus additional investment dollars on property upgrades and unit improvements.
“We believe the Las Vegas market is still in the early stages of its recovery and poised to benefit from meaningful rent gains with population and job growth outpacing the national averages. With a high-quality portfolio located in some of the strongest submarkets of Las Vegas, we are well-positioned to seek strong future NOI growth by implementing a value-add renovation program, “said Mark Jacobs, Managing Director at Oaktree.
Scott McClave, Senior Principal for Bascom, said, “We’ve been the most active multi-family investor in Clark County since the recovery and the portfolio is largely in submarkets where we’re currently established making it a natural fit. The overall excellent condition of the assets will allow us to focus resources on the latest amenities and features that today’s renter is looking for.”
CBRE Capital Markets’ Investment Properties teams in Las Vegas and Phoenix represented the seller. “Las Vegas is one of the few markets in the country where the current rent levels are still below the peak and the outlook for new jobs is among the best,” said Spence Ballif, Senior Vice President, Multifamily, CBRE Capital Markets. CBRE secured a seven-year floating rate loan, which includes an interest-only term. Financing was provided by a GSE lender. Brian Eisendrath, Brandon Smith, and Annie Rice of CBRE’s Los Angeles office arranged the financing on behalf of Oaktree. Of the financing, Mr. Eisendrath said, “This was a large, complex transaction with many moving pieces. We are pleased to be able to provide a creative debt solution for the partnership’s acquisition to help them deliver attractive returns to their investors.”
About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBG), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (in terms of 2015 revenue). The Company has more than 70,000 employees (excluding affiliates), and serves real estate owners, investors and occupiers through more than 400 offices (excluding affiliates) worldwide. CBRE offers strategic advice and execution for property sales and leasing; corporate services; property, facilities and project management; mortgage banking; appraisal and valuation; development services; investment management; and research and consulting. Please visit our website at www.cbre.com.
About Oaktree
Oaktree is a leader among global investment managers specializing in alternative investments, with $97 billion in assets under management as of March 31, 2016. The firm emphasizes an opportunistic, value-oriented and risk-controlled approach to investments in distressed debt, corporate debt (including high yield debt and senior loans), control investing, convertible securities, real estate and listed equities. Headquartered in Los Angeles, the firm has over 900 employees and offices in 18 cities worldwide. For additional information, please visit Oaktree’s website at www.oaktreecapital.com.
About Bascom
The Bascom Group, LLC is a private equity firm specializing in value-added multifamily, commercial, non-performing loans, and real estate related investments and operating companies. Bascom has completed over $11.7 billion in multifamily and commercial value-added transactions since 1996 including more than 292 multifamily properties containing over 78775 units. Bascom has ranked among the top 50 multifamily owners in the U.S. Bascom’s subsidiaries and joint ventures include the Southern California Industrial Fund, Rushmore Properties, Bascom Portfolio Advisors, Shubin Nadal Associates, Spirit Bascom Ventures, REDA Bascom Ventures, MHF RM Holdings, Bascom Northwest Ventures, Bascom Arizona Ventures, Harbor Associates, and the Realm Group. Bascom’s subsidiaries also include Premier Business Centers, the largest privately held executive suite company in the U.S. For additional information, please visit www.bascomgroup.com.
